Bitcoin ETFs: $88M Inflow Breaks Streak, But Weekly Outflows Still $315M

The immediate data point is a brief reversal. On February 20, Bitcoin ETFs recorded $88.04 million in net inflows, breaking a three-day outflow streak that had drained $403.90 million. That single day's inflow was driven almost entirely by BlackRock's IBIT and Fidelity's FBTC, with most other funds showing zero activity.

Yet this single day does not change the dominant weekly trend. For the week ending February 20, the net outflow stood at $315.86 million, marking the fifth straight week of redemptions. This current streak is now the longest outflow period in nearly a year. The four-week period from January 23 through February 20 saw approximately $2.48 billion in total outflows, highlighting a sustained capital withdrawal from the spot Bitcoin ETF market.

The bottom line is clear: while a temporary inflow offers a snapshot of selective demand, the persistent weekly redemptions signal a broader market of investor caution. The brief relief provided by BlackRock's inflow was insufficient to reverse the longer-term trend of capital leaving the products.

Concentrated Flows and the ETF Landscape

The flow data reveals a market of extreme concentration. On February 20, all $88 million in daily inflows were driven by just two funds: BlackRock's IBIT with $64.46 million and Fidelity's FBTC with $23.59 million. The remaining products, including major names like GBTC and ARKB, recorded zero activity, highlighting a bifurcated demand where only the largest players see movement.

This concentration extends to the weekly outflows. The $315 million net redemptions were led by IBIT with -$303.5 million, followed by FBTC at -$19.6 million and Bitwise's BITB at -$10.3 million. The fact that IBIT alone accounted for over 96% of the weekly outflows shows a singular, powerful source of selling pressure within the ETF complex.

The cumulative impact is a steady erosion of assets. Total net assets across the Bitcoin ETF universe fell from $87.04 billion on February 13 to $85.31 billion on February 20. This $1.73 billion decline over a week, driven by sustained redemptions from the market leaders, reflects a persistent capital withdrawal that is pressuring the products' aggregate size and liquidity.

Price Action and Market Implications

The divergence between negative ETF flows and stable Bitcoin price is the key market signal. On February 20, the asset traded at $67,800 with minimal 24-hour movement after touching a low of $66,452. This price stability, despite a $315 million weekly outflow, suggests selling pressure is not driving a major decline. It points to a controlled deleveraging rather than panic.

Trading volume confirms reduced market activity. Weekly volume for the period ending February 20 was $11.91 billion, down sharply from $18.91 billion the prior week. This contraction in turnover indicates a lack of conviction, where price moves are occurring on thinner liquidity. The bounce that lifted the total crypto market cap by 1.6% to $2.4 trillion happened on this declining volume, a classic sign of weak buying interest.

The bottom line is a market in recalibration. Analysts see the outflows as a natural pause after a strong 2025, not institutional capitulation. However, the sustained weekly redemptions and thin volume create a fragile setup. Without a confident shift in momentum, the path of least resistance remains sideways or down, with ETF flows likely to continue as a minor drag.